Capital-Asset Pricing Model (CAPM) Help

This calculator uses the following equation:

rj = rf + b(rm - rf)
Where:
  • rjj
  • rf = Return on a risk-free security
  • b = Beta
  • rm = Expected Return on the market portfolio
  • rf = Expected Life in Years

This is also known as the Security Market Line or SML.


Back

Home
Calculator Menu
Forums
About Us
Comments
Newsletter
Tell a friend
Resouces
Legal
Search
Calculator Info